AAC Holdings Continues Capacity Growth with Licensing Approval for New 162-Bed Facility in Riverview, Florida

BRENTWOOD, Tenn.--()--AAC Holdings, Inc. (NYSE: AAC) announced that the State of Florida’s Department of Children and Families has issued a license for River Oaks Treatment Center, LLC, a subsidiary of AAC, to operate a new 162-bed de novo facility located in Riverview, Florida. The license for River Oaks provides for 64 detox beds, 98 residential beds, day and night treatment and intensive outpatient treatment. With this facility opening, AAC’s total bed capacity has now increased to 935 beds compared with 487 beds at the time of its IPO.

Located on a 26-acre campus in suburban Tampa, River Oaks is a premier addiction treatment facility that provides all levels of care (Detox, RTC, PHP and IOP) to adult men and women struggling with substance abuse and co-occurring mental health disorders. Each client follows an individualized treatment plan and receives encouragement and programming from AAC’s multidisciplinary treatment team. Clients will also be able to experience amenities such as an indoor fitness center, outdoor tennis and basketball courts, equine therapy, and chef prepared meals.

“River Oaks is our largest de novo project for 2015 with a total investment of more than $18 million, and its opening comes at an opportune time as we continue to expand our presence in Florida,” noted Michael Cartwright, Chairman and Chief Executive Officer of AAC Holdings. “Based on the number of calls we are receiving from the region, and with more than 90 members of our staff already in place, we anticipate ramping up admissions in short order.”

About American Addiction Centers

American Addiction Centers is a leading provider of inpatient substance abuse treatment services. We treat adults as well as adolescents who are struggling with drug addiction, alcohol addiction, and co-occurring mental/behavioral health issues. We operate 19 substance abuse treatment facilities and one mental health facility specializing in binge eating disorders. Located throughout the United States, these facilities are focused on delivering effective clinical care and treatment solutions. For more information, please find us at AmericanAddictionCenters.org or follow us on Twitter @AAC_Tweet.

Forward Looking Statements

This release contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements are made only as of the date of this release. In some cases, you can identify forward-looking statements by terms such as “anticipates,” “believes,” “could,” “estimates,” “expects,” “may,” “potential,” “predicts,” “projects,” “should,” “will,” “would,” and similar expressions intended to identify forward-looking statements, although not all forward-looking statements contain these words. Forward-looking statements may include information concerning AAC Holdings, Inc.’s (collectively with its subsidiaries; “Holdings” or the “Company”) possible or assumed future results of operations, including descriptions of Holdings’ revenues, profitability, outlook and overall business strategy. These statements involve known and unknown risks, uncertainties and other factors that may cause our actual results and performance to be materially different from the information contained in the forward-looking statements. These risks, uncertainties and other factors include, without limitation: (i) our inability to operate our facilities; (ii) our reliance on our sales and marketing program to continuously attract and enroll clients; (iii) a reduction in reimbursement rates by certain third-party payors for inpatient and outpatient services and point of care and definitive lab testing; (iv) our failure to successfully achieve growth through acquisitions and de novo expansions; (v) uncertainties regarding the timing of the closing of acquisitions; (vi) the possibility that a governmental entity may prohibit, delay or refuse to grant approval for the consummation of acquisitions; (vii) our failure to achieve anticipated financial results from contemplated acquisitions; (viii) a disruption in our ability to perform definitive drug testing services; (ix) maintaining compliance with applicable regulatory authorities, licensure and permits to operate our facilities and lab; (x) a disruption in our business related to the recent indictment of certain of our subsidiaries and current and former employees; (xi) our inability to agree on conversion and other terms for the balance of convertible debt; (xii) our inability to meet our covenants in the loan documents; (xiii) our inability to obtain senior lender consent to exceed the current $50 million limit in unsecured subordinated debt; (xiv) our inability to integrate newly acquired facilities; (xv) a disruption to our business and reputational and potential economic risks associated with the civil securities claims brought by shareholders; and (xvi) general economic conditions, as well as other risks discussed in the “Risk Factors” section of the Company’s Annual Report on Form 10-K, and other filings with the Securities and Exchange Commission. As a result of these factors, we cannot assure you that the forward-looking statements in this release will prove to be accurate. Investors should not place undue reliance upon forward looking statements.

Contacts

Investor Contact:
SCR Partners
Tripp Sullivan, 615-760-1104
IR@contactAAC.com
or
Media Contact:
AAC Holdings, Inc.
Adam Mittelberg, 615-587-7728
Mediarequest@contactAAC.com

Release Summary

AAC Holdings Continues Capacity Growth with Licensing Approval for New 162-Bed Facility in Riverview, Florida

Contacts

Investor Contact:
SCR Partners
Tripp Sullivan, 615-760-1104
IR@contactAAC.com
or
Media Contact:
AAC Holdings, Inc.
Adam Mittelberg, 615-587-7728
Mediarequest@contactAAC.com